MORTONS GAP, Ky. – Governor Steve Beshear today announced funding for the second phase of a housing rehabilitation project in the city of Mortons Gap in Hopkins County.

Lieutenant Governor Jerry Abramson joined state and local officials today to present the $1 million Community Development Block Grant (CDBG) to Hopkins County to improve housing conditions throughout Mortons Gap.

“Safe, quality housing is an important element to enhancing the value of any community,” said Gov. Beshear. “This project will not only improve the aesthetics of Mortons Gap, but will also provide several families in the area with the dependable, accessible homes that they need.”

The grant funding will help with the demolition and reconstruction of 11 housing units throughout the city of Mortons Gap, a community that’s roughly two square miles with 400 houses and approximately 1,000 residents.

New homes will be constructed on the existing sites using Kentucky Housing Corporation standards, along with Energy Star and Green Building design elements. The new units will go to low-income, disabled or elderly citizens and will be accessible according to Americans with Disabilities Act guidelines. In addition, the Pennyrile Housing Corporation will donate pre- and post-homeownership counseling to the residents.

“This funding for housing improvements in Mortons Gap is just another step in increasing the overall quality of life throughout the community,” said Lt. Gov. Abramson. “Residents will not only have the opportunity to live in newly constructed and safe housing, but they also will receive valuable advice in how to uphold a quality household.”

To ensure the new homes will remain affordable to the residents, the city will provide the CDBG funds in the form of a 5-year forgivable deferred loan.

This project is the second phase of CDBG-funded housing rehabilitation for Mortons Gap. In 2008, $1 million went to reconstruct 11 housing units. The phase one project was successfully completed in a timely manner, and with assistance from the Pennyrile Housing Corporation, came in under budget.

“We are extremely pleased with the success of the first phase in this housing rehabilitation project and look forward to equal or greater success with this new endeavor,” said Department for Local Government Commissioner Tony Wilder.

“Many communities have suffered due to the recent economic crisis, and Mortons Gap is not excluded from that list,” said Mortons Gap Mayor Frank Stafford. “Thanks to the Beshear administration, our community is receiving the funding assistance we need to rebuild housing and make our neighborhoods better than they have ever been before.”

The state’s CDBG program is administered by the Department for Local Government and funded through the U.S. Department of Housing and Urban Development (HUD). Kentucky’s Congressional leaders’ ongoing support of the CDBG program ensures the availability of continued funding in Kentucky and nationally.